RIYADH: The UAE’s Federal Tax Authority on Wednesday announced the world’s first paperless tax refund scheme for tourists.
During a press conference, Khalid Ali Al-Bustani, director general of the Federal Tax Authority, said the new paperless system has been now linked with retailers, which will make receipts available electronically.
Tourists can use these electronically generated receipts to claim value-added tax refunds without carrying paper receipts, the local media reported.
The UAE introduced a VAT of 5 percent in 2018, and all tourists who spend $68 on purchases can claim VAT refunds at the outlets while leaving the country.
The UAE authorities have also equipped several kiosks to avail of the tax refund, reports in the local media said.
Al-Bustani said: “We worked with our partner Planet Tax to ensure that data is ready before a tourist arrives at the airport and can collect the refund.”
According to the local media, retailers in the country are linked with FTA and Planet Tax systems, and tourists can generate all the details regarding the VAT refund by visiting the Planet Tax website.
The tax official said the process is “very quick” and tourists “can always check about their refund amounts on the Planet portal once the invoice is posted. This service has been activated now and 95 percent of merchants will be covered under this scheme in the first year.”
